Letter, 26 February 2001, from Sport England
to the Football Association

ENGLISH NATIONAL STADIUM, WEMBLEY

Thank you for the opportunity to discuss the
project over the telephone earlier today. I am encouraged that
discussions are progressing with Chase on the funding package
and look forward to hearing the outcome of the meeting between
them and Keith Harris on Wednesday evening. I would be grateful
if you could follow up that meeting with a summary of the FA support
package. I understand from our conversation, that the package
includes the £100 million pre-completion support to the construction
of the stadium, and up to £30 million in revenue guarantees
to support the business plan.

I was also grateful for your confirmation that
the outstanding issue of the construction guarantee will not become
a stumbling block, and look forward to your proposals in this
regard. I also look forward to your clarification on the status
of the £20 million payment in respect of athletics, and confirmation
that it is included within the revised funding package.

As discussed, we consider that it is important
that the key parties meet to discuss and confirm the revised funding
package for the project, and chart the process and timetable for
achieving financial close. It is clearly vital that all parties
develop a common understanding of the issues, and are clear about
working practices, roles and responsibilities going forward. We
should explore the possibility of setting aside a few days where
the key players might meet to do this work in the next few weeks.

Finally, I am still keen to meet with you to
explore all of these issues further, and to discuss the grant
security issues raised in my letter of last week, and would suggest
that we seek to identify a suitable time as soon as practically
possible to do this. I look forward to hearing from you.